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IFRS for small and medium-sized entities

Background

At its September 2003 meeting, the IASB decided that it should develop accounting standards appropriate for small and medium-sized entities (SMEs) and that development of IASB SME standards should start by extracting the fundamental concepts from the IASB Framework and the principles and related mandatory guidance from IFRSs and related Interpretations.

Any modifications to these concepts or principles would be based on the identified needs of users of SME financial statements. In the initial stages of the project, the Board felt that it was likely that disclosure and presentation modifications will be justified based on user needs, but there would be a rebuttable presumption that no modifications would be made to the recognition and measurement principles in IFRSs.

Current status of the project

This project has been completed. The IASB issued International Financial Reporting Standard for Small and Medium-sized Entities on 9 July 2009.

Related Discussions

In this session, the Board discussed IFRS 3, IFRS 10, IFRS 11, IFRS 15 and IFRIC Interpretations and some of the amendments to IFRS Standards issued after the 2012 Comprehensive Review of the IFRS for SMEs Standard commenced.